Hyundai Motor Group has achieved a significant milestone in the U.S. electric vehicle (EV) market, capturing a 10% market share from January to July 2023. This remarkable achievement places Hyundai, alongside its sister brands Kia and Genesis, firmly in the second position behind Tesla, which continues to dominate the market with a 50.8% share during the same period, according to data from U.S. automotive research firm Motor Intelligence.
Hyundai’s Growth Driven by E-GMP Platform
The surge in Hyundai Motor Group’s market share is primarily driven by the strong sales performance of models built on its dedicated EV platform, the Electric-Global Modular Platform (E-GMP). The Hyundai IONIQ 5, a standout in Hyundai’s lineup, sold 18,728 units, capturing a 3.6% market share from January to June 2023. This impressive sales volume secured the IONIQ 5 the fourth position in model-specific sales, as reported by Kelley Blue Book.
The Hyundai IONIQ 6 also demonstrated significant growth, with 6,912 units sold, nearly doubling the 3,245 units sold in the same period last year. Additionally, Kia’s EV6 reached a significant milestone by surpassing 10,000 units in half-year sales for the first time, with 10,941 units sold.
Tesla’s Market Share Declines, Hyundai Expands Lead Over Competitors
While Tesla maintains its lead in the U.S. EV market, it has experienced a noticeable decline in its market share, dropping from 70% in 2022 to 60% in 2023. In the second quarter of 2023, Tesla’s market share fell below 50% for the first time, recording 49.7%. This decline has provided Hyundai Motor Group with an opportunity to expand its lead over other competitors. Hyundai now has a comfortable margin over third-place Ford, which holds a 7.4% market share, and fourth-place General Motors (GM), with a 6.3% share.
Commitment to U.S. EV Market Amid Challenges
Despite the recent concerns in the EV market, including demand slowdowns and fire incidents, Hyundai Motor Group remains steadfast in its commitment to strengthening its presence in the U.S. EV market. The company plans to unveil its large electric SUV, the IONIQ 9, at the LA Auto Show in November 2024. The IONIQ 9, which is positioned in the same class as the Kia EV9, was first introduced as a concept car named ‘Seven’ at the 2021 LA Auto Show. Initially expected to be named IONIQ 7, the model is now confirmed to be branded as the IONIQ 9, reflecting its class parity with the EV9.
Industry Recognition and Future Prospects
Motor Intelligence has highlighted the significance of Hyundai’s achievement, stating, “Hyundai, Kia, and Genesis collectively held a 10% market share in the U.S. EV market from January to July, ranking second behind Tesla, which held 50.8%.” Kelley Blue Book also emphasized the success of the IONIQ 5, noting, “The IONIQ 5 sold 18,728 units (3.6% market share) from January to June this year, ranking fourth in model-specific sales.”
Hyundai Motor Group continues to innovate and expand its EV offerings, with the upcoming launch of the IONIQ 9 or KIA EV3, and the future introduction of E-GMP based updated models like IONIQ 5 or EV6 facelift models, with larger battery packs and US-made, which will allow the Group to access to government rebates.
Conclusion
Hyundai Motor Group’s achievement of a 10% market share in the U.S. EV market marks a significant milestone in the company’s journey towards becoming a major player in the global electric vehicle industry. With a strong lineup of vehicles based on the E-GMP platform and a commitment to innovation, Hyundai is poised to continue its upward trajectory and challenge the industry’s established leaders.
